If the price of an input increases, each individual firm's marginal cost curve shifts ________ and the industry supply curve ________.
A. up; does not change
B. downward; shifts to the left
C. up; shifts to the left
D. downward; shifts to the right
Answer: C
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What is measured on the vertical axis when we draw a graph of long-run aggregate supply?
A) output of consumer goods B) real GDP C) production of capital goods D) the price level
Dremel Tools Dremel sells a high speed rotary tool appropriate for many workshop projects. They have developed hundreds of accessories and bits for their tools for many different applications. Why is the markup on the accessories higher than the markup on the rotary tools?
By agreeing to cooperate and abide by joint decisions, cartels most often
a. increase concentration ratios b. increase the market share of member firms c. increase the efficiency of production d. behave like a monopolist e. appear oligopolistic
Refer to the information provided in Figure 10.1 below to answer the question(s) that follow. 
Figure 10.1 Refer to Figure 10.1. This firm is currently hiring 16 workers and paying a wage of $10. This firm should
A. reduce employment to 14 workers to increase profits. B. reduce employment to 15 workers to increase profits. C. increase employment to 17 workers to increase profits. D. do nothing because it is maximizing profits.